Union Pacific Corporation (UNP)
Return on assets (ROA)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Net income | US$ in thousands | 6,379,000 | 6,998,000 | 6,523,000 | 5,349,000 | 5,919,000 |
| Total assets | US$ in thousands | 67,132,000 | 65,449,000 | 63,525,000 | 62,398,000 | 61,673,000 |
| ROA | 9.50% | 10.69% | 10.27% | 8.57% | 9.60% |
December 31, 2023 calculation
ROA = Net income ÷ Total assets
= $6,379,000K ÷ $67,132,000K
= 9.50%
The Return on Assets (ROA) performance of Union Pacific Corp. has been fluctuating over the past five years. The company's ROA was highest in 2022 at 10.69% and lowest in 2020 at 8.57%. In 2023, the ROA decreased to 9.50% compared to the previous year. This indicates that Union Pacific Corp. generated 9.50 cents of profit for every dollar of assets in 2023.
Overall, Union Pacific Corp. has been able to maintain a relatively healthy ROA above 8% over the last five years. A consistently positive ROA indicates that the company efficiently utilizes its assets to generate profits. However, the slight decrease in ROA from 2022 to 2023 may warrant further analysis to understand the factors driving this change and assess the company's operational efficiency and profitability going forward.
Peer comparison
Dec 31, 2023